IDEAS home Printed from https://ideas.repec.org/p/hit/hiasdp/hias-e-158.html

Complementarity between Hard and Soft Support? The Effects of Place-based R&D Policy Instrument Mix on Local Innovation

Author

Listed:
  • OKAMURO, Hiroyuki
  • NISHIMURA, Junichi

Abstract

Public R&D support attracts both academic and practical attention. Recent studies investigate the combination of different R&D policy instruments (policy mix), focusing on R&D subsidies and tax credits (“hard support”), despite the variety of actual instruments covering “soft support,” such as matching, mediation, and consultation services. Moreover, despite the decentralization of R&D policies in several countries, few studies have addressed place-based (city-level) R&D support with a variety of policy instruments. This study fills these gaps by estimating the effects of the local R&D policy mix, covering both hard and soft instruments, based on unique panel data of 146 Japanese cities for 18 years. Using panel fixed-effects estimations, we find that hard support has positive and significant effects on patent applications per person, while soft support significantly increases productivity. Finally, the coefficient of the interaction term of hard and soft support, estimated by the system GMM, suggests their complementarity

Suggested Citation

  • OKAMURO, Hiroyuki & NISHIMURA, Junichi, 2026. "Complementarity between Hard and Soft Support? The Effects of Place-based R&D Policy Instrument Mix on Local Innovation," Discussion paper series HIAS-E-158, Hitotsubashi Institute for Advanced Study, Hitotsubashi University.
    • Handle: RePEc:hit:hiasdp:hias-e-158
    as

    Download full text from publisher

    File URL: https://hit-u.repo.nii.ac.jp/record/2061948/files/070_hiasDP-E-158.pdf
    Download Restriction: no
    ---><---

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hit:hiasdp:hias-e-158. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Digital Resources Section, Hitotsubashi University Library (email available below). General contact details of provider: https://edirc.repec.org/data/ashitjp.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.